Section
General Provisions
38.01 Economic revitalization areas
38.02 Depreciation account for improvements or replacement for the Marion Municipal Airport
38.03 Marion Utility Service Board Promotional and Miscellaneous Account
38.04 Tax abatement guideline support
38.05 Promotional Account
38.06 Granting economic development target area status to large multi-track residential developments
Funds
38.20 Public Works Department Scrapping Fund
38.21 Group Insurance Non-Reverting Fund
38.22 Dana Sewer Project Fund
38.23 Non-reverting operating fund for parks and recreation
38.24 Special Projects Fund
38.25 Western Avenue Railroad Overpass Fund
38.26 Cumulative Capital Improvement Fund
38.27 Donation Fund
38.28 Animal Control Fund
38.29 Rainy Day Fund
38.30 Parks and Recreation Non- Reverting Operating Fund
38.31 LOIT Special Distribution Fund
38.32 Petty Cash Fund
GENERAL PROVISIONS
(A) Application for designation of economic revitalization area.
(1) Any person seeking tax abatement pursuant to I.C. 6-1.1-12.1-1 through 6-1.1-12.1-5 for property or new manufacturing equipment located or to be located in the city shall petition the Council for designation of the location of that property or new manufacturing equipment as an economic revitalization area by filing an application with the City Clerk. The application shall include the following information:
(a) The name and address of applicants;
(b) The name and address of the present owner of the property or the intended owner of the new manufacturing equipment;
(c) The name and address of the person who will own said property and/or new manufacturing equipment when approved or installed;
(d) The legal description and commonly known address of the property for which the designation is being petitioned;
(e) A map or plat designating the area in question for consideration;
(f) A description of the intended improvement or new manufacturing equipment;
(g) The assessed value of the improvement before rehabilitation or development and the estimated value after improvement or installation;
(h) Verification of the present zoning classification of the location of the property or new manufacturing equipment;
(i) A statement verifying that the area in question has become undesirable for, or impossible of, normal development and occupancy because of a lack of development, cessation of growth, deterioration of improvements or character of occupancy, age, obsolescence, substandard buildings or other factors which have impaired values or prevent a normal development of property or use of property or that the area in question is an area where a facility or a group of facilities that are technologically, economically or energy obsolete are located and where the obsolescence may lead to a decline in employment and tax revenues;
(j) A statement estimating the number of new permanent full time and part time jobs which will be created by this project or retained as a result of this project;
(k) The assessed value of the new structure in the case of redevelopment;
(l) The amount of deduction claimed for the first year of deduction;
(m) A statement that the application is made in good faith and that the information presented is accurate and represents the conditions that exist or are anticipated at the time of filing the application.
(2) At the time of filing that application, the applicant shall pay a non-refundable fee which shall be as follows:
(a) For owner-occupied, single-family projects, a sum equivalent to the cost of publishing notice pursuant to I.C. 6-1.1-12-1-2.5;
(b) For all other applicants:
Project Cost | Fee |
Less than $25,000 | $50 |
$25,000 - $74,999.99 | $150 |
$75,000 - $499,999.99 | $300 |
$500,000 - $999,999.99 | $500 |
$1,000,000 or more | $1,000 |
(B) Procedure after application filed.
(1) The City Clerk shall, immediately upon accepting a filed application and receiving the fee as herein provided, send a copy of the application to the Tax Abatement Review Committee of the Council.
(2) The Tax Abatement Review Committee shall review that application and shall:
(a) Determine conformity of the application with division (A) of this section;
(b) Investigate the accuracy of the information contained in the application; and
(c) Do all things which, in the discretion of the Tax Abatement Review Committee, will assist the Council in considering the subject application, including reporting to the Council the results of the Committee investigation.
(3) No later than 30 days after an application is filed with the City Clerk, the City Clerk shall place the application on the agenda for the next meeting of the Council.
(4) When an application has been placed on the agenda of the Council the procedure established in I.C. 6-1.1-12.1-2.5 shall be followed.
(C) Exclusions.
(1) Designation of economic revitalization areas shall be disallowed if:
(a) The applicant for designation is not owner of the property except upon presentation of a bona fide offer to purchase contingent upon that designation or if the designation is limited to new manufacturing equipment;
(b) On-site construction work has begun on real property improvements, except surveying, soil testing, topographic analysis, archeological excavation, water table testing, the drilling of wells or environmental impact analysis; or
(c) New manufacturing machinery or equipment has been installed; or
(d) Any other activity has occurred which is deemed by Council to render the economic revitalization area designation unnecessary to the success of the project.
(2) The Council may waive the exclusions set forth in this division if final action by the Council on the application is delayed for reasons beyond the control of the applicant and that delay creates an economic hardship upon applicant.
(D) Applicability of state law. All other procedures for filing a tax abatement shall be consistent with the I.C. 6-1.1-12.1-1 through I.C. 6-1.1-12.1-6, as it may be amended from time to time.
(1985 Code, § 6-1.1-12.1-1) (Ord. 2-1981, passed 3-18-1981; Am. Ord. 12-1981, passed 5-22-1981; Am. Ord. 45-1981, passed 1-7-1982; Am. Ord. 1-1983, passed 2-2-1983; Am. Ord. 5-1984, passed 3-21-1984; Am. Ord. 22-1985, passed 9-25-1985)
Statutory reference:
Economic revitalization areas, see I.C. 6-1.1-12.1-1
(A) There is approved and established a depreciation account for the Marion Municipal Airport for the purpose of accumulating funds from the operating profits of the airport for the construction of capital improvements upon the Marion Municipal Airport and further for the repair, replacement and maintenance upon the capital improvements located on the Marion Municipal Airport.
(B) It is further determined that the income and revenues received from the cash rental of farm ground located upon the Marion Municipal Airport shall be set aside into a depreciation account for the exclusive purpose as provided for herein, which depreciation account may be carried from year to year without reversion to the General Fund as provided by statute.
(C) The Marion Board of Aviation Commissioners shall further be entitled, as provided by statute, to utilize and expend said funds for the sole purpose of the cost of construction of capital improvements, extensions or additions or further for the repair, replacement or maintenance to the buildings, facilities and other capital improvements located at the Marion Municipal Airport.
(D) The Marion Board of Aviation Commissioners shall be empowered to utilize such depreciation fund for payment of capital improvements which are made pursuant to grant agreements with the Federal Aviation Authority or the State of Indiana, and upon reimbursement of such funds from the appropriate governmental agency shall repay such depreciation fund with the proceeds from the grant agreement.
(Ord. 15-1989, passed 4-18-1989)
(A) An account is established, being the Marion Utility Service Board Promotional and Miscellaneous Account. The City Council is authorized to budget and appropriate funds from the revenues of the water and sewer utility to pay the expenses incurred in promoting the betterment of the City of Marion, Indiana, through the accounts created.
(B) Expenditures from these accounts may include, but are not necessarily limited to, the following:
(1) Membership dues and local, regional, state and national associations of a civic, educational or governmental nature, which have as their purpose the betterment and improvement of municipal utility operations;
(2) Direct expenses for travel, meals and lodging in conjunction with municipal business or meetings or organizations to which the municipal utility belongs;
(3) Expenses incurred in the promotion of economic or industrial development for the municipality, including meeting room rental, decorations, lodging, meals and travel;
(4) Commemorative plaques, certificates or objects such as commemorative keys;
(5) Other purposes which are deemed by the Marion Utility Service Board to directly relate to promotional or betterment of the City of Marion, Indiana.
(C) The promotional account shall be budgeted each year by the Marion Utility Service Board and approved by the City Council. No expense shall be allowed from the account without prior authorization and approval of the Marion Utility Service Board. Claims for expenses under this section will be allowed as prescribed by law.
(Ord. 5-1985, passed 3-5-1985)
(A) Manufacturing/Industrial based projects should be considered for the maximum abatement schedule allowed under Indiana State Code - ten years on real property and on personal property (equipment). An abatement should not exceed the useful life of personal property. This preference for manufacturing/ industrial based projects needs to be shown in order to induce and encourage industrial enhancements of the community. High tech, or technologically based industries, should be included in this classification.
(B) Commercial abatements should be considered for no more six years, unless an unusually large and impactful benefit to the community can be demonstrated. Under normal commercial development circumstances, six year abatement scheduled should be considered only in geographic areas where the abatement incentive is needed to encourage development. These areas could include the central business district (downtown area), the Urban Enterprise Zone, the South Marion Business District, or similar areas. The by-pass, interstate exchange, and similar areas should be considered for no more than three year abatement schedules. Variables that should be considered when determining the appropriate tax abatement schedule for commercial projects include: number of new and permanent full-time jobs being created, wage scale of positions being created, geographic location, level of investment, additional municipal services required, and overall positive impact on the community.
(C) Residential tax abatements should be offered for no more than three years. Special consideration should be given to new sub-division development, due to the private infrastructure development for the city, and to urban in-fill projects, for making a more efficient use of existing municipal services. Even in these two areas, however, tax abatement scheduled should not exceed three years. Rehabilitation and repair of existing structures may be eligible for up to five years of tax abatement if it qualifies under Indiana law by substantially increasing the assessed valuation. Routine maintenance such as painting, re-shingling, etc. shall not qualify for tax abatement unless it results in a substantial increase in the assessed valuation.
(D) Please note that any tax abatement guidelines should be used as general procedural statements only. The city council should maintain a certain level of flexibility in its program in order to best serve the citizens of Marion. It could be harmful to lock into a rigid formula. All abatements should be considered on a case-by-case basis in order to ensure the efficient use of the tax abatement program. High priority shall be given to job creation as well as job retention. Whenever possible, the Common Council shall be allowed sufficient time to study and examine a proposed tax abatement. Thus, as a general rule, tax abatements should not be heard by the Common Council on the same night as it is heard by committee, unless there is an emergency.
(E) The Abatement committee is designated as the City Council's negotiating arm on the issue of tax abatement. The abatement committee may make recommendations outside of these guidelines in exceptional circumstances. This resolution shall be reviewed and evaluated at least annually.
(Res. 19-2000, passed 6-20-2000)
(A) The Common Council is hereby authorized to budget and appropriate funds from the general fund or from other funds to pay the expenses incurred in promoting the betterment of the municipality.
(B) Expenditures may include, but are not necessarily limited to the following:
(1) Membership dues in local, regional, state and national associations of a civic, educational or governmental nature, which have as their purpose the betterment and improvement of municipal operations.
(2) Direct expenses for travel, meals, and lodging in conjunction with municipal business or meetings or organizations to which the municipality belongs.
(3) Expenses incurred in the promotional of economic or industrial development for the municipality, including meeting room rental, decorations, meals and travel.
(4) Commemorative plaques, certificates, or objects such as commemorative keys.
(5) Other purposes which are deemed by the Mayor to directly relate to promotion or betterment of the city.
(C) No expenses shall be allowed without prior authorization and approval of the Mayor. Claims for expenses under this section shall be allowed as prescribed by law.
(Ord. 18-2004, passed 8-17-2004)
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